Nasdaq Dubai has signed a deal to use indices provided by MSCI to create index derivatives, such as futures contracts.
The exchange said it hoped to offer futures on the MSCI UAE equity index, which would assist investors in hedging their equity positions.
“As we successfully completed the first year of trading single stock futures on our derivatives platform, we are keen to move to the next phase of growth and introduce index futures,” said Hamed Ali, chief executive of Nasdaq Dubai.
“The MSCI licence is in response to popular demand from our institutional brokers who help global institutional investors manage UAE-focused portfolios.”
Since Nasdaq Dubai revived its initiative to bring futures to the exchange in September 2016, there have been 13 single-stock futures listed and more than 2.5 million futures traded.
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